So far from January to July 2021, the demand for offices has continued to move slowly in one of the real estate segments most affected by the pandemic, as well as the commercial and hotel sectors.

Gross demand at the national level has been concentrated in large cities, where the first three places are occupied by Mexico City with 158.1 thousand square meters, Monterrey with 42.1 thousand square meters and Guadalajara with 20 thousand square meters.

Although these levels are still substantially lower than what was observed in pre-pandemic years, activity is beginning to be concentrated mainly in the financial centers of these main cities.

In the capital of the country, the Reforma submarket, which is one of the financial centers (in English, central business district) of Mexico City, widely dominates the demand with 36%, followed by the Insurgentes, Periférico Sur and Polanco submarkets with 12.9 %, 12.6% and 12.1%, respectively. Along these axes, the varied offer of financial headquarters is grouped, as well as related services activities such as insurance companies and other technology firms.

Check here: Reconversion or reengineering of office use?

In the Monterrey market, the Santa María, Centro and Valle Oriente submarkets concentrate 34.8%, 27.4% and 24.4%, respectively, of the demand for offices in this city.

Santa María and Valle Oriente on the north bank of the Santa Catarina River and the Centro submarket developed on the central axis of Lázaro Cárdenas Avenue concentrate a great incidence of new projects that are built in the city and that exceed 252 thousand square meters a July 2021.

The case of Guadalajara shows a demand quite distributed in three main submarkets such as Puerta de Hierro, Providencia and Nueva Zona Financiera with 39.2%, 34.8% and 26%.

These three submarkets located to the northwest of the city concentrate the largest number of new projects between Manuel Avila Camacho and Lazaro Cardenas Avenues that cross Lopéz Mateos Avenue, on which financial activity in the city mainly revolves.

Other cities that also reported leasing activity in the first 7 months of the year were Tijuana and Querétaro, with 15.1 and 12.1 thousand square meters, respectively.

Of interest: Solili Offices Report August 2021, demand increases and unemployment decreases

In Tijuana, demand is dominated by the Zona Rio submarkets with 54.7% and Agua Caliente with 45.3%. Zona Río is developed on the central axis of the Avenida Vía Rápida where the main corporate buildings of the financial sector of the city are concentrated.

In Querétaro, the Juriquilla submarket concentrates a little more than 85% of the gross demand that still shows very cautious levels compared to periods prior to the pandemic.

Currently, the financial centers of the main Mexican cities are the ones that are attractive for companies that are looking for corporate space since they have infrastructure, a varied offer of spaces in terms of size, design and amenities, which in times of pandemic make them more competitive.

The developers of the corporate sector continue to evaluate formulas that activate demand, where we have been observing reconversions to other uses, modifications in the marketing parameters and novel associations that seek to prop up economic activity in each of these main Mexican cities.